Hargreaves Account management fee

lochfynne

Hi,

I hold an ISA and SIPP account with investments in funds only
Has anyone experience in challenging Hargreaves on the account management fee?

In particular as Fidelity overs a reduced management fee of 0.1% for holdings of under 250k and 0.25% to 0.15% if holdings are above 250k.

Want to stay with Hargreaves for convenience but want to pay a reduced account management fee.

Thanks for your help.

le_loup

Threaten to leave them - see if they give a toss.

Drp8713

Just change your investments, share dealing account is free, ISAs (inc LISA) capped at £45 per annum and SIPP capped at £200 per annum all you need to do is hold investment trusts or ETFs instead of open ended funds.

So even if you hold all four accounts your fees would be capped at £290 per annum which is 0.12% on £250k. Less is you dont have a LISA.

lochfynne

the only issue with ETF and IT is that the choice is less and they incur a 10GBP charge for each transaction. So to switch investmentment from one IT to another I understand it would cost 20 GBP.
so at 20 switches per year one rakes up quickly 400GBP.

Or did I get this wrong?

lochfynne

any experience if they react to the threat of leaving?

jimjames

lochfynne wrote: »

any experience if they react to the threat of leaving?

When the charges were introduced some had success getting them reduced with very large portfolios. Not sure I've heard of anyone doing so recently so they may just tell you tough luck.

mostwelcome

lochfynne wrote: »

0.1% for holdings of under 250k and 0.25% to 0.15% if holdings are above 250k.

is this not the wrong way round? Isn't the fee smaller for larger holdings?

alewin

marktristan wrote: »

is this not the wrong way round? Isn't the fee smaller for larger holdings?

I think that the OP meant that Fidelity offer a reduced management of 0.1% compared to Hargreaves Lansdown. So for funds under 250k, Fidelity charge 0.35% compared to 0.45%.